Minimum Down Payment for Property in Dubai (2026 Rules)
The minimum down payment for property in Dubai is 20% for expats and 15% for UAE nationals on a first home under AED 5 million, under Central Bank rules. Off-plan homes need 50% from any buyer, and banks usually ask non-residents for 40% to 50%. The deposit and the fees cannot be borrowed.
The minimum down payment for property in Dubai is the share of the price a buyer must pay from their own money when using a mortgage. Under the Central Bank of the UAE's mortgage regulations, expats need at least 20% for a first home under AED 5 million, UAE nationals 15%, and every buyer 50% on off-plan property. Buying fees are paid on top, in cash.
Figures checked against the Central Bank of the UAE Rulebook, Regulations Regarding Mortgage Loans, on 30 September 2026. The loan-to-value limits have not changed in 2025 or 2026. Non-resident figures are bank practice, not Central Bank rules.
What is the minimum down payment for property in Dubai?
The minimum down payment in Dubai depends on who you are, whether it is your first home, the property's value and whether it is built yet. The Central Bank of the UAE (CBUAE) sets a maximum loan-to-value (LTV) ratio for each case, and the down payment is whatever the bank will not lend.
| Buyer and property | Maximum loan (LTV) | Minimum down payment |
|---|---|---|
| Expat, first home, under AED 5 million | 80% | 20% |
| Expat, first home, above AED 5 million | 70% | 30% |
| Expat, second or investment home, any value | 60% | 40% |
| UAE national, first home, AED 5 million or less | 85% | 15% |
| UAE national, first home, above AED 5 million | 75% | 25% |
| UAE national, second or investment home, any value | 65% | 35% |
| Off-plan, any buyer, any value | 50% | 50% |
| Non-resident (bank practice) | Usually 50% to 60% | Usually 40% to 50% |
Loan-to-value means the loan as a share of the property's value. An 80% LTV on an AED 1 million apartment is an AED 800,000 loan and an AED 200,000 down payment.
Minimum down payment for expats: 20% on a first home
An expat buying a first home in Dubai worth under AED 5 million needs a down payment of at least 20%, because the Central Bank caps the loan at 80% of the property's value. On an AED 1.5 million apartment, the 20% down payment is AED 300,000. The first-home limit applies to one property only: the Central Bank rules say "each borrower can only claim one property under this category".
Expats buying above AED 5 million: 30% down
An expat buying a first home worth more than AED 5 million needs at least 30% down, because the maximum loan falls to 70%. On an AED 6 million villa, the minimum down payment is AED 1.8 million. The Central Bank wording for expats says "less than" and "more than" AED 5 million, so ask your bank which band applies to a property priced at exactly AED 5 million.
UAE nationals: 15% down on a first home
A UAE national buying a first home worth AED 5 million or less needs at least 15% down, because the Central Bank allows a loan of up to 85%. Above AED 5 million, the maximum loan is 75%, so the minimum down payment is 25%. Loans guaranteed under a government housing programme can have different limits.
Second home or investment property: 40% for expats
A second home or buy-to-let property needs at least 40% down for expats and 35% for UAE nationals, whatever its value. The Central Bank caps these loans at 60% and 65%. Banks also deduct at least two months' rent from their affordability test on investment property, to allow for empty periods.
Off-plan property: 50% down with a mortgage
Off-plan property in Dubai needs a down payment of at least 50% if you borrow against it, for UAE nationals and expats alike. The Central Bank gives the reason as "the long term nature of the development process and the higher level of risk to completion".
“The maximum LTV for off-plan mortgages is 50% "regardless of purpose, value, or category of purchaser."”
Central Bank of the UAE, Regulations Regarding Mortgage Loans, Article 3
In practice, most off-plan buyers do not take a mortgage during construction. They pay the developer's payment plan in cash and borrow, if at all, when the property is finished. Many banks then treat the loan as a mortgage on a ready home, with the normal limits; check this with your bank before you commit to a plan.
Minimum down payment for non-residents: usually 40% to 50%
Non-residents usually need a down payment of 40% to 50% in Dubai. The Central Bank regulation sets no separate limit for people who live abroad, but it says the LTV ratios "are the maximum allowable" and that banks should be more cautious where risks are higher. Most banks that lend to non-residents cap the loan at 50% to 60%. HSBC UAE, for example, advertises non-resident mortgages of up to 60% of the property's value, for its Premier and Private Bank customers. Fewer banks lend to non-residents at all, so a mortgage broker who works with overseas buyers can save time.
Can you use a personal loan for the down payment?
No. The Central Bank requires the down payment to come from the buyer's own money, not from a personal loan or credit card. Banks check bank statements for the source of the deposit, and a new personal loan also counts against your debt burden ratio.
“The down payment "should be drawn from the borrower's own resources and not from other sources of borrowing (including personal loans or credit cards)."”
Central Bank of the UAE, Regulations Regarding Mortgage Loans, Article 2
Gifts from family are a grey area. The rule is about borrowed money, but each bank decides what evidence it wants for a gifted deposit, so ask before you rely on one.
What happens if the bank valuation is lower than the price?
If the bank's valuation comes in below the agreed price, your down payment goes up. The Central Bank defines loan-to-value against the property's appraised value, and it requires an independent on-site valuation before a bank commits to lend. Banks lend their percentage of the lower figure, and you pay the difference.
| Valuation shortfall example | Price as valued | Price below valuation |
|---|---|---|
| Agreed price | AED 1,000,000 | AED 1,000,000 |
| Bank valuation | AED 1,000,000 | AED 950,000 |
| Maximum loan (80%) | AED 800,000 | AED 760,000 |
| Down payment needed | AED 200,000 (20%) | AED 240,000 (24%) |
An AED 50,000 gap in valuation costs you AED 40,000 more in cash. Get mortgage pre-approval before you sign Form F (the RERA sale contract), keep some cash in reserve, and consider agreeing in Form F what happens if the valuation comes in low.
How much cash do you need in total: deposit plus fees
The total cash needed to buy with a mortgage in Dubai is the down payment plus all the buying fees, because neither can be borrowed. The Dubai Land Department (DLD) transfer fee alone is 4% of the price. With agent commission, trustee and title deed fees, and the bank's own charges, fees add about 7% to 8% of the price on a mortgaged resale. The full list of fees is in our guide to the cost of buying property in Dubai.
Example 1: AED 1 million apartment, expat, first home
| AED 1,000,000 resale apartment, 80% mortgage (AED 800,000 loan) | AED | GBP (approx.) |
|---|---|---|
| Down payment (20%) | 200,000 | 41,000 |
| DLD transfer fee (4%) | 40,000 | 8,200 |
| Registration trustee fee incl. VAT | 4,200 | 860 |
| Title deed, map and admin | 520 | 110 |
| Agent commission (2% + VAT) | 21,000 | 4,300 |
| Mortgage registration (0.25% + admin) | 2,270 | 470 |
| Bank processing fee (1% + VAT) | 8,400 | 1,700 |
| Valuation (incl. VAT) | about 3,150 | 650 |
| Total fees | about 79,540 | 16,300 |
| Cash needed | about 279,540 (28% of the price) | 57,300 |
Example 2: AED 2 million villa, expat, first home
| AED 2,000,000 resale villa, 80% mortgage (AED 1.6M loan) | AED | GBP (approx.) |
|---|---|---|
| Down payment (20%) | 400,000 | 82,000 |
| Total buying and mortgage fees | about 150,940 | 30,900 |
| Cash needed | about 550,940 (28% of the price) | 112,900 |
Example 3: AED 6 million villa, expat, first home
| AED 6,000,000 resale villa, 70% mortgage (AED 4.2M loan) | AED | GBP (approx.) |
|---|---|---|
| Down payment (30%) | 1,800,000 | 368,900 |
| DLD transfer fee (4%) | 240,000 | 49,200 |
| Trustee fee, title deed, map and admin | 4,720 | 970 |
| Agent commission (2% + VAT) | 126,000 | 25,800 |
| Mortgage registration (0.25% + admin) | 10,770 | 2,200 |
| Bank processing fee (1% + VAT) | 44,100 | 9,000 |
| Valuation (incl. VAT) | about 3,150 | 650 |
| Total fees | about 428,740 | 87,900 |
| Cash needed | about 2,228,740 (37% of the price) | 456,700 |
GBP figures use AED 4.88 = £1 (30 September 2026) and are rounded. Bank processing fees are up to about 1% plus VAT and are not capped by the Central Bank, so yours may be lower. Recheck the rate before you transfer money.
The DLD fee items in these examples are explained on our DLD fees page.
Budget the fees in cash, not just the deposit
Since 1 February 2025, UAE banks have not financed the 4% DLD fee or agent commission, as reported by The National. A 20% deposit really means about 28% of the price in cash on a typical mortgaged resale. Buyers who plan for 20% find the gap on transfer day.
How is an off-plan payment plan different from a mortgage deposit?
An off-plan payment plan is a schedule of instalments you pay to the developer during construction; it is not a mortgage deposit and is not set by the Central Bank. Developers set their own plans. The first payment is commonly 10% to 20% of the price, plus the 4% DLD fee, with the rest spread over construction and sometimes after handover. Your payments go into a project escrow account regulated by RERA (the Real Estate Regulatory Agency), and the account trustee releases money to the developer as construction milestones are verified.
The difference matters for your cash planning:
- Payment plan in cash: you may pay only 10% to 20% plus fees at the start, but you must fund every later instalment yourself.
- Mortgage during construction: the bank lends at most 50%, so you need at least 50% of your own money.
- Mortgage at handover: you pay the construction instalments in cash, then borrow the balance when the home is finished, subject to the bank's valuation at that point.
What do "0% down" and "1% monthly" offers mean?
"0% down" and "1% monthly" are developer marketing terms for off-plan payment plans, not mortgage products. They do not change the Central Bank limits.
- "0% down" or "no down payment" usually means the developer pays or defers the 4% DLD fee, or spreads the booking amount into later instalments. You still pay for the property; ask for the full schedule and the total price.
- "1% monthly" means paying about 1% of the price every month, often during construction and sometimes for years after handover. On an AED 1 million apartment that is AED 10,000 a month, which a bank will count if you apply for other credit.
- Post-handover plans can leave you owing the developer after you get the keys. If you want a mortgage then, the bank must be willing to pay off the developer's remaining balance.
Read the sales and purchase agreement carefully, and check the project is registered with the DLD before paying anything. Our guide to conveyancing in Dubai covers when paying for a contract review is worth it.
Does your salary limit the loan, and so the down payment?
Yes. Your income can cap the loan below the LTV limit, which means a bigger down payment. The Central Bank sets two income limits on mortgages:
- Debt burden ratio (DBR): all monthly debt payments, including the new mortgage, may not exceed 50% of gross salary and regular income. Banks must test the payment at 2 to 4 percentage points above the loan's interest rate.
- Maximum loan to income: expats can borrow up to 7 times annual income, UAE nationals up to 8 times.
| Loan | Minimum annual income at 7x (expats) | Per month |
|---|---|---|
| AED 800,000 | AED 114,286 | about AED 9,500 |
| AED 1,600,000 | AED 228,571 | about AED 19,000 |
| AED 4,200,000 | AED 600,000 | AED 50,000 |
These are Central Bank ceilings. Most banks also set a minimum salary, commonly about AED 15,000 a month for salaried expats, and the stress-tested DBR can bite before the 7x limit does. See how much money you need to buy property in Dubai for salary and budget examples.
Legally the limits are maximums; in practice banks can ask for more
Legally, the Central Bank LTV ratios are ceilings, not promises. The regulation says banks are free to adopt "more conservative limits", and many do for non-residents, the self-employed, older borrowers and some property types. In practice, a salaried UAE resident buying a first ready home from a mainstream developer usually gets the full 80% (85% for UAE nationals), while other buyers should plan for a bigger down payment until they have a written pre-approval.
What changed in 2025 and 2026
- February 2025: banks stopped lending the 4% DLD fee and agent commission as part of a mortgage, so the cash needed rose from about 20% to about 28% of the price on a typical resale.
- 2025 to 2026: the DLD's First-Time Home Buyer Programme lets UAE residents buying their first Dubai home under AED 5 million pay the DLD fee in interest-free credit card instalments. It does not change the down payment.
- No change to the Central Bank's LTV limits, the 50% debt burden ratio or the 25-year maximum term.
For UK buyers: how a Dubai deposit compares
- The deposit is higher than many UK buyers expect. UK lenders offer 90% or 95% mortgages; in Dubai, a UK resident usually needs 40% to 50% down as a non-resident, or 20% once living in the UAE on a residence visa.
- UK borrowing does not count as your own funds. Remortgaging a UK home to raise the deposit is borrowed money. How a Dubai bank treats it varies, so ask before you rely on it, and remember that the UK loan will count in the Dubai bank's debt burden ratio.
- Currency moves your deposit. A 20% deposit on an AED 1 million apartment is AED 200,000, about £41,000 at AED 4.88; a 3% move in the pound changes that by about £1,200.
- UK tax. Rent or gains from a Dubai property can be taxable in the UK if you are UK tax resident. See is there property tax in Dubai? and check your own position with a qualified adviser.
FAQs
What is the minimum down payment for property in Dubai for expats?
20% for a first home under AED 5 million, 30% for a first home above AED 5 million and 40% for a second or investment home, under Central Bank of the UAE rules. Off-plan property needs 50% if you borrow against it.
What is the minimum down payment for non-residents in Dubai?
Usually 40% to 50%. The Central Bank sets no separate rule for non-residents, but banks that lend to them usually cap the loan at 50% to 60% of the property's value.
Can I buy property in Dubai with a 10% down payment?
Not with a bank mortgage: the smallest down payment is 15%, for UAE nationals buying a first home. Some off-plan payment plans ask for 10% or less at the start, but you then pay the rest to the developer in instalments.
Can I use a personal loan for my down payment in Dubai?
No. The Central Bank requires the down payment to come from your own resources, not from personal loans or credit cards.
How much down payment do I need for a AED 1 million apartment in Dubai?
AED 200,000 (20%) for an expat buying a first home, or AED 150,000 for a UAE national. With about AED 79,500 in fees, an expat needs about AED 279,500 in cash.
Does the down payment include the DLD fee?
No. The 4% DLD fee, agent commission and bank fees are paid on top of the down payment, and since February 2025 banks do not lend them.
What happens if the property valuation is lower than the purchase price?
The bank lends its percentage of the lower valuation, so you pay the difference in cash. On an AED 1 million home valued at AED 950,000, an expat needs AED 240,000 down instead of AED 200,000.
Is the down payment for off-plan property 50%?
Only if you take a mortgage during construction, where the Central Bank caps the loan at 50%. Developers' payment plans are separate, often starting at 10% to 20% plus the 4% DLD fee.
Sources and method9 sources from 6 publishers · last checked 30 September 2026
Official
- Central Bank of the UAE Regulations Regarding Mortgage Loans
- Dubai Land Department Property sale registrationMortgage registrationFAQsFirst-Time Home Buyer Programme
Reporting and other sources
- HSBC UAE Non-resident mortgages
- The National banks stop financing DLD fees and commission
- Agent, bank, valuation and minimum salary figures: market ranges from Property Finder, Bayut and Khaleej Times, 2024 to 2026. No official figures are published.
- Exchange rate: Wise, GBP to AED, 30 September 2026.
